If you’ve been out of a job for a while, or just tired of the work you’ve been doing for years, you may be thinking about starting a business. If so, get ready to begin an exciting, rarely boring, and often harrowing journey.
Calling it “dangerous” may be an overstatement, since dangerous is defined as “dangerous.” However, “hazard” means “exposure to risk or harm,” and starting a business can certainly be risky and definitely challenging.
Since writing down challenges seems to make them easier, let’s take a look at the obstacles you’re about to face.
1. Poor time management
This is one of those issues that creates problems for many of us starting new businesses. Either you spend all your time working or you can’t stick to a schedule.
Many businesses fail within the first year because the owner failed to control work time vs. work time. time “the rest of life”. Rule number one: you can’t spend every minute of your life on your business. You still need to have a life. Otherwise, you will get burned.
2. Organizational skills
If you do, you’ve just cleared a big hurdle. Being disorganized not only means wasting time looking for something, but it also makes it difficult to concentrate. Which leads to danger number 3.
3. Focus (or rather “lack of”)
One of my friends decided to close his business and focus on consulting. It seemed like a good idea. He knew his field and had a lot of practical experience. He also had a fully equipped home office and no kids or wives around to distract him.
Unfortunately, the idea was better than the company. Why? He couldn’t concentrate without the structure of an office environment. Working from home seemed like a kind of part-time job. Instead of being at his desk every morning at a certain time, he would find other things to do. Lunch hours often turned into a free afternoon. It was a “sort of” business, not a serious one.
4. Fear of failure
Failure and entrepreneurship go hand in hand. If you’re not fully aware that your business might fail, or if you’re terrified of failing, go work for someone else. Because if you’re not willing to take risks, you shouldn’t be in business for yourself.
Risk means stretching, taking chances, trying new tactics, making mistakes and learning to overcome them.
Read a bit about successful entrepreneurs. You’ll find that most have had failures along the way, whether it’s businesses that didn’t succeed or ideas that failed. It didn’t stop them from starting over. Call it common sense.
5. Lack of marketing
Most new businesses just don’t have big marketing budgets. However, that is no excuse not to do marketing. Because if you’re not putting your name out there, someone else will… only it’s their name, not yours.
There are a plethora of inexpensive marketing tools out there. Networking is my favorite A#1 for new (and old) businesses. The cost is minimal. Your investment is in time. Find something.
Join networking groups, chambers of commerce, or industry organizations. Attend events where you will meet new people. Create a thirty-second “elevator pitch” about your company (with a focus on benefits). Carry your business cards with you, always! Talk to people when you’re out. I’ve picked up business chatting with people at social events. You never know who might be a potential customer…or who might know someone who might be.
Other profitable marketing tools include direct mail (highly targeted), direct email, e-newsletters, a website (replaces a printed brochure), and public relations. It is not necessary to have an advertising campaign. We should do something!
6. Not keeping on top of your game
Technology has radically changed the way we do business. The information is immediately disseminated over the Internet. You have to be able to make decisions quickly. The same technology that makes our lives easier also requires us to work harder.
So stay up to date on what’s happening in your particular industry. Find some industry leaders and read their newsletters and books.
7. Forgetting to have fun
Dangers aside, as an entrepreneur, you control your destiny. You are not at the mercy of a company downsizing and eliminating your work. And if you lose an account here or there (it happens), you can go out and get more. You can be as busy as you want.
So enjoy what you are doing. Get up in the morning knowing that you are (hopefully) doing what makes you happy. And have fun.
Copyright © 2004 Rickey Gold and Associates